Is Medical Debt Back on Credit Reports? What the Rules Are Now

Short answer Some of it can be. In January 2025 the CFPB finalized a rule to keep medical debt off credit reports used for lending. A federal court vacated that rule in 2025, so there is no federal ban today. But important protections still apply, and many medical collections still cannot appear on your report.

What still protects you

The three national credit bureaus adopted these policies voluntarily in 2022 and 2023. They were never part of the vacated rule, and they remain in place:

  • Paid medical collections come off. Once a medical collection is paid, it should not stay on your report, no matter how long it took to pay.
  • Medical collections under $500 don't report. Small unpaid medical collections are excluded.
  • There is a one-year waiting period. Unpaid medical debt is not supposed to appear until at least a year after it went to collections. That year gives you time to sort out insurance, billing errors, and financial assistance.

State laws

A growing number of states, at least 15 as of 2026, restrict medical debt on credit reports or in lending decisions. They include California, Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, Minnesota, New Jersey, New York, Oregon, Rhode Island, Vermont, Virginia and Washington, and the District of Columbia passed a law in 2026. The details differ by state, and federal regulators have questioned whether some state limits hold up, so check your own state's rules.

What can still hurt you

  • Unpaid medical collections of $500 or more that are more than a year old, in states without their own protections.
  • Medical credit cards and financing. Cards and loans used to pay medical bills are regular credit. Late payments and balances report like any other card.
  • Putting a medical bill on your regular credit card. Once it's on the card, it's card debt, not medical debt, and none of the medical protections apply.

Before you pay a medical collection

  1. Get an itemized bill. Billing errors on medical bills are common.
  2. Check what insurance should have paid. Many collections are bills that were never properly submitted to insurance.
  3. Ask about financial assistance. Nonprofit hospitals are required to have financial assistance policies. You may qualify even after a bill has gone to collections.
  4. Request validation from the collector in writing. Make them show what you owe and to whom.

How to dispute a medical collection

If a medical debt on your report is under $500, paid, less than a year in collections, not yours, or inaccurate, dispute it with each credit bureau that shows it. Include proof: a paid receipt, an insurance explanation of benefits, or a hospital letter. Bureaus generally must investigate within 30 days.

Next step

Need help with this? Work with a CCA-certified credit consultant: trained on the FCRA, FDCPA and CROA, and held to CCA's code of ethics. Find a certified consultant | Check a consultant's standing

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Common Questions

I paid a medical collection. Why is it still on my report?

It shouldn't be. Dispute it with the bureau and include proof of payment.

Does medical debt hurt my score as much as other debt?

Newer scoring models such as FICO 9 and VantageScore 4.0 weigh medical collections less than other collections. Many lenders still use older models.

Can a hospital sue me even if the debt isn't on my report?

Yes. Credit reporting and the right to collect are separate. A debt can be collectible without being on your report.

Sources

This page is general information, not legal advice. CCA is a professional association, not a law firm or a regulator. For a specific situation, consult an attorney licensed in your state.

Last reviewed: · Reviewed by CCA Consultants · Audience: consumers